Enters market alongside domestic manufacturers, boosting competitiveness across sectors

POSCO is supplying HIC-certified energy steel to Saudi Aramco’s Fadhili Gas Plant Expansion Project.

The Fadhili expansion project is a large-scale energy infrastructure initiative by Aramco, the world’s largest oil company, aimed at increasing the gas processing capacity of the existing plant by approximately 1.6 times.

The HIC-resistant steel provided by POSCO is designed to withstand hydrogen-induced cracking and is used in harsh environments for energy applications such as steel pipes and pressure vessel materials in the oil and gas sector.

Energy steel is typically categorized by application into two segments: plant facilities used for energy extraction and production, and pipelines for transportation. This marks the first time that HIC-resistant steel has been supplied for use in the plant segment.

In particular, the HIC-resistant steel required by Aramco for plant applications must pass HIC testing and quality certification procedures that go beyond international standards (NACE TM0284). Until now, European steelmakers had exclusively supplied this material. Currently, only nine steel manufacturers, including POSCO, have obtained certification from Aramco. With this supply, POSCO is set to expand both its technological presence and market influence in the high-value-added energy steel sector.

In addition, POSCO’s HIC-resistant steel has been processed into finished products by domestic manufacturers of pipes, pressure vessels, and fittings, thereby enhancing the competitiveness of South Korea’s plant industry. Initially, European companies were considered for the pipe and pressure vessel fabrication in the early stages of the Fadhili project. However, with POSCO supplying the steel, the fabrication work was also shifted to domestic firms. This demonstrates how the technological competitiveness of downstream industries has led to new supply opportunities for upstream sectors within Korea. Currently, pipes are being manufactured by Hyundai Steel Pipe and Seah Steel, pressure vessels by Bumhan Mecatec, and fittings by Taekwang.

Amid ongoing uncertainties in the global trade environment, such as protectionism and high tariff policies, POSCO is securing a competitive edge by developing new demand and expanding its market through high-value-added products. Furthermore, by working closely with a wide range of partners, POSCO is actively driving the growth and competitiveness of South Korea’s manufacturing industry.

▲ A view of the ongoing Fadhili Project in Saudi Arabia.

POSCO’s cultural complex Park1538, first introduced in Pohang in 2021, has now officially opened in Gwangyang — this time under the name “Park1538 Gwangyang.” The facility officially opened on April 3 and began welcoming the general public on April 14. Park1538 Gwangyang consists of a promotion hall, art museum, and education center. Today, we explore the key highlights of the Art Museum and Education Center at Park1538 Gwangyang.

The POSCO Art Museum Gwangyang is located on the first and second floors of Park1538 Gwangyang. It is a space planned to bring a wave of culture and art to the city of light, Gwangyang. POSCO aims to expand the region’s cultural infrastructure through high-level art exhibitions in the future.

The museum’s inaugural exhibition is titled “Journey of the LIGHT.” To mark the 33rd anniversary of the full completion of Gwangyang Works, 33 selected pieces from the POSCO Group art collection are on display.

The exhibition is divided into two parts: Part 1, themed “The Light Within,” showcases representative works of Korean abstract painting. Part 2, themed “The Light of Nature,” features bright, warm landscapes filled with natural beauty.

The final stop is the education center. The education center is themed around POSCO’s innovation journey, titled “Innovation Wave.” Approximately 1,430 tons of POSCO steel, including PosMAC, were used in the construction materials. The building’s design was inspired by the bamboo groves of Gwangyang’s Maehwa Village, creating a warm and open space for creativity and communication.

Inside, the center is divided into two main areas: the Leadership Education Center, focused on theoretical learning, and the Technical Training Center, centered on practical skills. Spanning from the basement level to the third floor, the facility houses 26 classrooms and can accommodate up to 1,155 trainees. Additional facilities include a staff cafeteria with 150 seats and a Paul Bassett café.

One of the most eye-catching features of Park1538 Gwangyang is the bold architecture of its promotional hall and education center. Beyond the buildings lies another highlight—the landscaping. Designed to harmonize with the architecture, the surrounding landscape was planned to offer a variety of colors throughout the seasons.

Let’s take a look at the large tree in front of the education center. This is a silver osmanthus, which serves as a symbolic centerpiece of Park1538. A tree species commonly found in Korea’s southern regions, the silver osmanthus blooms with silvery flowers in autumn and spreads its fragrance far and wide. This particular tree was transplanted from the grounds of an old school in Jeollanam-do. Estimated to be over 50 years old, it shares a parallel history with POSCO’s long-standing growth. Once a guardian of a place of learning, the silver osmanthus will now continue to grow at the heart of POSCO’s new foundation for nurturing talent.

Another key feature is the Steel Planter Box. Created in collaboration with the Gwangyang Works Maintenance Technology Department, it looks like a massive stone but is actually a repurposed steel block. It was dropped from a 25-meter height over several years in the steel yard to crush industrial sludge, gradually forming its current shape. Its rugged yet resilient form reflects POSCO’s own spirit—one of challenge, persistence, and transformation through adversity.

POSCO’s cultural complex Park1538, first introduced in Pohang in 2021, has now officially opened in Gwangyang — this time under the name “Park1538 Gwangyang.” The facility officially opened on April 3 and began welcoming the general public on April 14. Park1538 Gwangyang consists of a promotional hall, art museum, and education center. Among them, the promotional hall is designed to fill the city of light, Gwangyang, with a wave of culture. Shall we explore the main highlights of Park1538 Gwangyang’s promotional hall together with the POSCO group Newsroom?

Now, let’s officially begin our tour! As you enter the first floor of the promotional hall, you’re welcomed by a massive media wall measuring 10 meters tall and 4 meters wide. Beyond this Welcome Wall, visitors step into the Immersive Theater, where they experience POSCO’s story of sustainable steel.

Inside the Immersive Theater, visitors experience the transformation of iron ore through a powerful four-sided projection mapping show. The journey begins as iron ore, the source of steel, combines with the four classical elements and is ultimately forged into steel. Steel continuously builds the world and returns to nature, completing an endless cycle. Through interactive video that responds to visitor movement, viewers feel as if they are directly participating in steel’s journey.

In the Theme Hall on the first floor, visitors can view the artwork “STAR” by artist Jeong-hwa Choi. Inspired by the dynamic boiling of iron at its melting point of 1,538°C, the sculpture is composed of 1,538 stainless steel spheres. Like the “Smart Light” sculpture outside the promotional hall, this piece is also made of POSCO STS316 stainless steel.

As you head up to the third floor of the promotional hall, you are greeted by the “Memory of Steel” History Zone. Here, visitors can explore POSCO’s bold challenge of building a steelworks from barren, undeveloped land—told through historical photographs, videos, and archival materials. From the early construction of the Pohang and Gwangyang Works to the present day, this exhibit highlights the strength and perseverance of POSCO’s journey.

While walking through the History Zone, visitors will also encounter “The People Who Make POSCO.” This interactive space allows visitors to search for current POSCO employees who are actively contributing to the company’s history. By entering the name of a current employee, their photo and department will appear on a large screen. It’s a fun and meaningful way to look up family members, friends, or colleagues who currently work at POSCO. In addition, a POSCO Hall of Honor is located within the same zone, where visitors can learn about individuals who have made significant contributions to the company’s growth and legacy.

Next, you enter the “Present of Steel” Steelmaking Process Zone. Here, working models of each production stage, along with synchronized video displays, offer a vivid and realistic experience of how steel is made. After passing through the vivid Steelmaking Process Zone that feels like stepping into a real steel plant, you enter the Transition Area, where ships loaded with POSCO’s steel cut through the sea and head out into the world.

You then continue to the “World of Steel” Product Display Zone. In the Product Display Zone, visitors can explore POSCO’s products and technologies applied in everyday life. In the first area, visitors encounter steel applied in various fields such as renewable energy, shipbuilding, energy terminals, and future smart cities.

In the second area, visitors can experience POSCO’s innovative steel up close. Visitors can watch a robot-arm performance that presents POSCO’s development of eco-friendly automotive steel and solutions—flagship products of Gwangyang Works.

The third area presents the uses of steel in everyday life—including home appliances, furniture, and objects made from PosART, stainless steel, and other specialty materials.

After completing the tour from the Beginning of Steel on the first floor to the Product Display Zones on the third floor, visitors are guided to the final destination—the “Vision of Steel” Vision Theater, where they can watch POSCO’s brand film. In this space, a panoramic wide screen measuring 15 meters in width and 3.93 meters in height delivers a vivid and immersive experience of the passion of POSCO employees, the birth of steel, and the convenient world made possible through steel. It also offers a glimpse into POSCO’s future, moving forward together with its stakeholders.

In the next article, Part 2, we’ll introduce the key highlights of the art museum and education center at Park1538 Gwangyang—so stay tuned!

▼Park1538 Gwangyang X Lia Kim Watch the video (click)

Strengthening cooperation on POSCO’s proprietary high-manganese steel for lighter and stronger future warships

Synergy between K-Defense and K-Steel expected to improve competitiveness in the global defense industry market

POSCO’s high-manganese steel, developed for the first time in the world by the company, is being introduced as a new material for future high-tech defense applications. With this development, POSCO aims to strengthen its competitiveness in the global defense industry market. On May 28, POSCO and HD Hyundai Heavy Industries signed a memorandum of understanding (MOU) at the International Maritime Defense Industry Exhibition (MADEX), held at BEXCO in Busan. The agreement outlines cooperation for the development and real-world application of high-manganese steel as a material for future advanced naval vessels.

The MOU aims to conduct joint research to apply high-manganese steel—already in use in the civilian sector—to naval ship hulls for the first time. Through this initiative, POSCO plans to expand the application of high-manganese steel beyond its current use in LNG fuel tanks in the shipbuilding sector, and lead future market changes based on the technological capabilities of this independently developed material.

High-manganese steel, developed by POSCO, is a non-magnetic material that minimizes the need for demagnetization, a process traditionally required for naval vessels. This characteristic significantly improves survivability during mine laying and retrieval operations by reducing the risk of magnetic sea mine detonation. The steel also offers approximately 10% higher strength compared to conventional shipbuilding steel, so it is more resistant to external impacts and explosions. In addition, it is expected to contribute to hull weight reduction for improved overall vessel performance.

The successful commercialization of high-manganese steel reflects the strategic direction emphasized by POSCO Group Chairman In-Hwa Jang in strengthening fundamental competitiveness through technological advantages. Since his appointment as head of POSCO’s Steel Division in 2018, Chairman Jang has led efforts to improve competitiveness with the development of advanced steel materials, reinforced marketing strategies, and the expansion of POSCO’s global steel network.

The International Maritime Defense Industry Exhibition (MADEX), where the MOU was signed, is the largest naval defense exhibition in Korea. It brings together the Navy, the Defense Acquisition Program Administration (DAPA), as well as domestic and international shipbuilding and defense companies, and provides a platform to showcase the latest technologies and trends in the maritime defense sector.

In particular, POSCO and HD Hyundai Heavy Industries, which represent Korea’s steel and defense industries, respectively, formalized their intent to cooperate in front of naval officials, defense authorities, and global buyers. This event underscored their commitment to joint growth and technological collaboration, and highlighted the strategic synergy between the two sectors.
POSCO is also scheduled to present two technical papers at the Naval Ship Technology and Weapon Systems Seminar during MADEX. The presentations are on the “Development Status of New Materials to Improve Naval Survivability” and “Non-Magnetic High-Manganese Steel as a Hull Material for Special-Purpose Naval Vessels.”

A POSCO official said, “Based on our world-class steelmaking technology and extensive experience in material development, we have continuously developed a range of advanced materials, including non-magnetic high-manganese steel.” The official added, “Through this collaboration, we will deliver tangible outcomes such as improving the technological competitiveness of next-generation naval vessels, and we will continue to expand the development of innovative materials to support the advancement of the national defense industry.”

An official from HD Hyundai Heavy Industries said, “With this agreement, we plan to significantly improve the survivability of next-generation naval vessels, including mine-laying ships, mine countermeasure vessels, and unmanned surface vessels, by applying high-manganese steel. We will continue to pursue research and development for the application of advanced materials.”

Through this collaboration, the two companies expect to change the paradigm of domestic naval shipbuilding and further strengthen their competitiveness in the global maritime defense market. POSCO also plans to actively promote the use of high-manganese steel in naval hulls, as well as expand the packaging and marketing of steel solutions for maritime defense applications.

▲High-manganese steel plates stacked at the heavy plate mill.

▲High-manganese steel being transported using a vacuum suction crane.

POSCO Group does its best to develop technologies that contribute to safety and carbon neutrality. We introduce POSCO Group’s excellent new technologies to create a better world! In this edition, we introduce POSCO’s steel vertiport, an urban UAM takeoff and landing hub that not only has strength, durability, and cost effectiveness, but also incorporates prefab construction for enhanced usability.

With worsening urban traffic congestion and environmental issues around the world, urban air mobility (UAM) is gaining attention as a solution. The most notable UAM vehicle is the electric vertical takeoff and landing aircraft (eVTOL).

It requires a specialized structure, called a “vertiport,” for safe urban takeoff and landing of eVTOL. A vertiport is more than just a landing pad, it serves as an urban airport that provides terminal spaces for passenger boarding, as well as facilities for aircraft charging and maintenance, as a vital part of the UAM infrastructure.

In aviation, there is a critical time known as the “fatal 11 minutes when accidents are most likely to occur, which is 3 minutes during takeoff and 8 minutes before landing. UAM flights are also vulnerable to the turbulence created by airflows interacting with the vertiport during takeoff and landing, which poses a risk of collision with obstacles. This highlights the need for a vertiport structure designed with superior durability to withstand unexpected situations. Until now, aluminum has been the main material for vertiports due to its light weight and durable properties. However, aluminum was difficult to commercialize because it was expensive.

POSCO developed the “steel vertiport” with the goal of creating a lightweight yet robust vertiport using steel. By leveraging this material, they achieved a product with similar strength to aluminum, but with a thinner structure and at less than half the cost of aluminum alternatives. Furthermore, they incorporated PosMAC, POSCO’s high-corrosion-resistant steel, which has 10 times the corrosion resistance of conventional galvanized steel and significantly reduces maintenance concerns.

Vertiports that are typically installed on top of buildings, rather than on the ground, are referred to as elevated vertiports. These structures are characterized by modular assembly, minimizing the need for heavy equipment and assembly because materials must be lifted to higher floors. POSCO’s steel vertiport is designed as a 15-meter square platform divided into 18 modules, which are pre-fabricated in the factory and assembled on-site. This prefab construction method enhances the efficiency of both the installation and dismantling processes.

*Prefab (short for pre-fabrication): A construction method where components are manufactured in a factory beforehand and the structure is completed on site by assembly alone.

Steel Vertiport Technology Validated With Public Performance Testing

Last June, POSCO conducted the first-ever public performance verification of its steel vertiport in Goheung, South Korea. POSCO proved its technological expertise by successfully completing the entire process of the steel vertiport, from design to construction, for performance verification in only 20 days. It was a challenging feat, but POSCO was able to complete it within the tight timeline thanks to proactive collaboration with manufacturing plants and construction partners during the development phase. A key feature of POSCO’s steel vertiport is its enhanced construction efficiency, achieved by integrating DfMA* and modularization technologies. Let’s take a closer look at the public performance verification of POSCO’s steel vertiport.

*DfMA (Design for Manufacture and Assembly): A design approach that considers the manufacturing, transportation, and installation of components and modules at the outset of structural or architectural planning.

During the public performance test, real-time data were collected to measure the durability of the steel as a 5-ton helicopter landed on the vertiport. Remarkably, the steel exhibited outstanding strength, with no deformation even to a tolerance of 1 cm. Observers from the Korea Aerospace Research Institute and Lotte E&C consortium praised the steel vertiport and acknowledged its potential for application in the future UAM industry. Additionally, feedback from the helicopter pilot affirmed that the steel vertiport matched conventional helipads in terms of robustness, noise, and vibration, which once again showed the stability and superiority of POSCO’s steel vertiport.

Steel Vertiport Potential Recognized in the Global Market

The potential of the steel vertiport has been showcased not only domestically, but also internationally. At last month’s 2024 World Smart City Expo (WSCE) Vertiport International Forum, POSCO presented real-world applications of its steel vertiport design and received global attention to this innovative solution. Following POSCO’s presentation, there was a flurry of questions from the audience, including inquiries about commercial partnership opportunities. After the forum, a steel vertiport mock-up was displayed at the Airport Corporation’s promotional booth. This model, featuring a frame and columns integrated with POSCO’s high-strength trusses, attracted considerable interest from attendees for its structural performance as well as its architectural aesthetics and sense of openness.

▲ A virtual image of a vertiport ©Korea Airports Corporation.

Building a Sustainable Vertiport Operating System with POSCO’s Products and Solutions

Since a vertiport is a structure in its own right, it must also address the demand for improved energy efficiency, a focal point in modern construction. In light of this, POSCO is exploring options to integrate solar panels directly onto the vertiport and is evaluating the application of BIPV* systems, which would combine solar energy generation with the terminal’s exterior cladding. POSCO is also considering an innovative wind energy solution by harnessing the strong downdraft, or “downwash,” generated as helicopters descend. The implementation of such ideas will require the steel vertiport to have exceptional durability and structural integrity, and POSCO is committed to conducting thorough research to realize these concepts. With these advancements, POSCO’s steel vertiport is ready to shape the future of UAM infrastructure. We thank you for your support.

*BIPV (Building Integrated Photovoltaic): A power generation system that seamlessly combines energy production with architectural design by incorporating solar modules as building materials.

POSCO has secured energy-saving product certification for its Pos E-save product from CRRC*, a specialized U.S. energy conservation certification body.
*CRRC: Cool Roof Rating Council

​▲A building utilizing Pos E-save products

CRRC independently tests products for solar reflectance and thermal emittance, certifying those that meet required standards. Obtaining this certification allows products to display the CRRC certification mark, instilling confidence in consumers and construction professionals.

POSCO’s newly certified heat-reflective and insulating steel sheet, Pos E-save, is a high-performance surface-treated steel sheet. It employs solar-reflective materials as a coating to block external heat and incorporates micropores in the coating to minimize heat transfer, thus providing an insulation effect.

While conventional color-coated steel sheets for building exteriors typically have an infrared reflectance of about 17%, Pos E-save achieves approximately 50%. Under identical conditions, this can lower roof surface temperatures by over 10°C compared to traditional color-coated steel sheets.

Primarily used for steel building materials, this steel sheet contributes to cooling energy savings in summer by preventing building and roof surface temperatures from rising excessively. In winter, it aids in heating energy conservation by preventing internal temperature loss. Furthermore, with a thermal conductivity of 0.2W/(m·K)*, it offers excellent insulation, capable of preventing condensation caused by temperature differences between interior and exterior during winter months.
*Water’s thermal conductivity is about 0.6 W/(m⋅K), aluminum’s is 237(m⋅K)

It also features noise reduction capabilities for external sounds such as raindrops and boasts superior weather resistance, garnering attention in Korea and international architectural cladding markets.

The Automotive Steel Surface Research Group, which led the product development, stated, “Recent climate changes have heightened interest in building exterior materials that can improve energy efficiency. The U.S. CRRC certification validates the energy efficiency superiority of our developed product. We will continue focusing on developing products that contribute to energy conservation.”
 

POSCO involved in the entire process from design to production; POSCO steel used throughout the test track and diverging sections

POSCO attended the inauguration ceremony of the European Hyperloop Center (EHC) Phase A test track, which Hardt Hyperloop hosted on September 9 in Veendam, Netherlands.

▲European Hyperloop Center test track (Source: Hardt).

The event was attended by approximately 300 people, including Jens Gieseke, Member of the European Parliament; Prince Constantijn Van Oranje-Nassau of the Netherlands; Inigo Cruz Martinez, Policy Officer for the European Union Transport Authority; Bertrand Van Ee, CEO of Hardt; Seok-jong Seo, Head of Steel Product R&D Center at POSCO Technical Research Laboratories; Yong-hyeok Kim, Head of Eco-friendly Industrial Steel Business Division at POSCO International; and representatives from EHC partner companies.

The EHC is a test center carrying out sub-projects of the Hyperloop Development Program (HDP), a national hyperloop development initiative led by Hardt and the Dutch government. It is equipped with test tracks and research facilities to promote standardization and technology validation of hyperloop within the EU.

Commercial hyperloop tubes require approximately 2,000 tons of steel per kilometer. With an estimated 25,000 km of hyperloop construction expected in Europe alone by 2050, this industry shows significant growth potential.

The inaugurated hyperloop test track (Phase A) is 2.5m in diameter and 450m long. Hardt plans to focus on testing operational runs, acceleration and deceleration (instantaneous maximum speed of 100 km/hr), precise control in diverging sections, and passenger safety.

POSCO’s Steel Product R&D Center, Steel Solution R&D Center, and Marketing Division collaborated throughout the EHC design and production process. They supplied 352 tons of PosLoop355 steel for the Phase A test track, which is 27% lighter than Hardt’s original design. This marks the world’s first specialized steel for hyperloop tubes, offering 1.7 times the vibration-damping capacity* of regular steel during high-speed travel and excellent seismic performance.

*Vibration damping capacity: The characteristic of a material to internally reduce vibration.

Additionally, the test track is designed to allow for route divergence testing during high-speed travel. POSCO’s advanced thick plate products, totaling 123 tons, were also used in this section, ensuring POSCO steel is utilized throughout the entire hyperloop system.

In addition to the inaugurated Phase A test track, Phase B (2.7km) is scheduled for construction by 2027. The Phase B section will enable testing of instantaneous maximum speeds up to 700km/hr and safety performance checks, raising expectations for commercialization.

POSCO plans to continue collaborating with Hardt on the Phase B test track, applying specialized steel and differentiated tube structures to the main line and diverging sections to ensure competitive infrastructure.

POSCO International also participated in this project. In 2022, as part of its global new business development, POSCO International invested in Hardt, securing a 6.1% stake and steel supply rights. In 2023, they signed a strategic cooperation agreement with Hardt and are jointly developing Phase B and projects in Europe and the Middle East.

In collaboration with POSCO International, POSCO plans to actively market its steel for use in future global hyperloop test track projects.

Kyu-hwan Lim, Head Hot Rolled & Wire Rod Marketing Office at POSCO, stated, “In a carbon-neutral future, while intercontinental passenger and cargo transport will be handled by aircraft and ships, we believe hyperloop, with its superior energy efficiency and transport speed, will manage travel between mega-cities. We will thoroughly prepare to ensure the POSCO Group secures competitiveness as a major player in the steel market for future transportation.”

Providing satisfaction to customers with high-quality products and eco-friendly steel solutions and striving to reduce CO₂ emissions! Experts introduce POSCO’s new steel wire rod products.

Young-tae Oh, Section Leader

(Hot rolled steel & wire rod marketing office)

Background of non-heat treatable steel wire rod for automobile fastening CHQ

Wire rods are steel materials used in various industries, such as automobiles and construction. Among them, wire rods for CHQ are key steel parts for automobiles that are mostly used for fasteners that are directly related to human safety and thus automobile manufacturers demand strict quality standards for CHQ wire rods. It requires many complex processing stages to convert wire rods into automobile parts that satisfy customers. Before fabricating parts, cold drawing and spherodized annealing (SA) heat treatment are performed to ensure accurate sizing and enhance formability. Afterward, the automobile fastening part is completed by controlling the shape with cold forging and ensuring strength of the part with quenching and tempering (Q/T) heat treatment.

With the rapidly increasing need for low-carbon emissions as society places more importance on eco-friendliness and eco-friendly vehicles, the industry’s interest in eliminating the heat treatment process has grown quickly. In particular, domestic automobile part manufacturers pay attention to non-heat treatable steels since they need to expand into the global market to overcome stagnation in the domestic automobile market. Therefore, POSCO has focused its know-how and capabilities on eco-friendly wire rods with reduced carbon emissions to lead the future market.

Collaboration with a domestic fastener company resulting in application to a Japanese auto part for the first time

POSCO’s non-heat treatable steel series POSNH, which is POSCO’s leading non-heat treatable steel, is a group of steels with improved formability by optimizing alloy contents and refined grains by adding microalloying elements such as niobium (Nb) and vanadium (V) to increase impact toughness. POSCO’s POSNH series includes PONH4, POSNH6, and POSNH9S grades.

Among them, 0.9 GPa level (normally 9T level) POSNH9S is a product developed in 2017 as a material for automobile steering system parts. POSCO worked with Taeyang Metal Industrial Co., Ltd., Korea’s largest fastener manufacturer, to develop vehicle part products and conduct PR activities for them. As a result, the products met the stringent requirements of Japanese manufacturers and mass-produced parts for brake guide pins began to be supplied for the first time in the first half of 2021.

▲Car steering parts brake guide pin.

Application to steering parts for GM vehicles in North America

POSCO worked with Korean auto company CTR to propose the POSNH9S steel part for the tie rod of steering to be used in new pickup trucks for GM in North America in 2022. The company succeeded in mass production for GM finished automobiles in North America in 2022 because it gained a competitive edge over global part manufacturers by developing and providing a solution that applies non-heat treatable steel to auto part company needs such as optimal wire drawing and film conditions, and forging die life improvement technology.

▲Car steering parts tie Rod.

POSCO solves Korean fastener manufacturer’s chronic problems with solutions using non-heat treatable steel

The demand for shoulder bolts for fastening electric vehicle batteries and battery packs has recently increased due to the rapid growth of eco-friendly vehicles such as global electric vehicles. Existing carbon steel (SWRCH45K) requires Q/T heat treatment to secure strength after final bolt processing, but bending after heat treatment requires additional correction work. To solve the problem, POSCO worked with its fastener partner to apply steels without Q/T heat treatment. POSCO achieved the required strength by increasing wire drawing, and its fastener partner optimized the forging process to mass produce PSNH9S, a non-heat treatable steel that can skip correction work. As a result, the fastener manufacturer reduced costs and improved productivity by omitting Q/T heat treatment and correction work. This enabled it to stably supply low-carbon, eco-friendly products to the market.

▲Supply chain processing for the application of heat-treated steel.

POSCO’s POSNH9S confirmed to be applied to a Korean electric vehicle for the first time in 2024

Korean automakers have also shown interest in POSCO’s carbon emission-reducing non-heat treatable steel after the 2045 Carbon Neutrality Roadmap was announced. POSCO proved the excellent quality of its products by conducting material and product durability and performance evaluations in collaboration with Korean automobile and its part manufacturers in the second half of 2022. As a result, the first application was confirmed for the tie rod, a steering part of a new electric vehicle scheduled to be released in 2024. It is expected to be a bridgehead for the company to expand its presence to vehicles produced domestically and overseas.

[POSCO’s past]

The first integrated steel mill(ISM), a long-cherished desire of Korea, was born in 1973.

On July 3, 1973, Korea’s first ISM was born with the completion of the first phase of the Pohang works. The five government-led ISM construction projects had been tried since 1958, but had failed each time. After many twists and turns, the project succeeded by using funds of the claims against Japan.

In 1973, President Park Chung-hee presented a specific vision for Korea’s economic development. In his State of the Union Address, he declared a plan for heavy and chemical industrialization, thus emphasizing the importance of the Pohang works, which was nearing completion at that time. President Park’s declaration, which focused on intensively nurturing six strategic businesses – steel, petrochemicals, machinery, shipbuilding, automobiles, and electronics – was rooted in the smooth completion of the first phase of the Pohang works.

Full government-wide support and passionate interest

▲Commemorative stamps for the completion of the first phase of the Pohang works (left) and a large arch installation on Gwanghwamun Street in Seoul to mark the completion

The completion of the first phase of the Pohang works, which was a milestone that moved the wheels of Korean history and a turning point in the nation’s economic development, was possible thanks to the government’s full-scale support and the dedication of outstanding talents. It was a big, unprecedented project, and the amount was three times that invested to build the Gyeongbu Expressway.

During the 39-month construction period for the first phase of the Pohang works required 3,154,884 man-days in all, and 99,918 supervisors for technical guidance. In addition, a total of KRW 120.4 billion was invested in the project; KRW 49.3 billion of domestic capital and KRW 71.1 billion (USD 178 million) of foreign capital. The massive amount of resources and manpower invested in this project reflects the national attention and hot spotlight at the time.

▲First product shipped from Pohang works

The first phase of the Pohang works was a sign of success for the domestic steel industry. It achieved normal operation just four months after the completion. By July 1974, on the first anniversary of its operation, it had achieved a remarkable performance, resulting in a trade surplus of KRW 24.2 billion. POSCO also improved the quality of its products to an international level. For steel plates, it acquired international quality certification from Lloyd’s Register in the UK and other authoritative bodies in major countries. In 1973, its export performance reached USD 20 million in 21 countries.

POSCO’s steel products are the lever of the Korean manufacturing industry’s leap forward

As POSCO grew and steel production increased, major domestic manufacturing companies also grew. This was because POSCO served as leverage in the manufacturing industry by producing high-quality steel domestically and supplying it stably at low prices. In June 1974, HD Hyundai Heavy Industries launched Korea’s first large oil tanker, Atlantic Barron, made with POSCO’s steel plates, and Hyundai Motor also developed the nation’s first vehicle model, the Pony, in the same year.

▲Atlantic Barron, the first large oil tanker launched by Hyundai Heavy Industries (left) and the Pony, Hyundai’s first car model (right), made with POSCO steel plates <※ Source: The Dong-a Ilbo (provided by Hyundai Heavy Industries), The Kyunghyang Shinmun (provided by Ulsan Museum)>

According to the Ministry of Trade, Industry and Energy, when the first molten metal flowed from the Pohang works in 1973, the domestic shipbuilding volume was 12,000 Compensated Gross Tonnage (CGT) and automobile production volume was only 25,000 units. However, POSCO’s steel production volume last year was 38.64 million tons (domestic), and the manufacturing industries using steel also showed rapid growth: the shipbuilding volume was 7.81 million CGT, and automobile production was 3,757,065 units.

[POSCO’s present and future]

Steel legacies created by POSCO, becoming stronger to overcome crises

As of 2023, POSCO has eight blast furnaces (three at Pohang works and five at Gwangyang Steelworks) and two FINEX units. The production of molten metal did not decrease even after the first blast furnace was retired because the capacity was increased according to the number of blast furnaces. In 2021, POSCO achieved a record-breaking performance, surpassing KRW 70 trillion in sales and KRW 9 trillion in operating profit for the first time since its foundation. Crude steel production was 45.33 million tons, with consolidated sales of KRW 76.3323 trillion and operating profit of KRW 9,238.1 billion.

According to the Ministry of Trade, Industry and Energy, when the first molten metal flowed from the Pohang works in 1973, the domestic shipbuilding volume was 12,000 Compensated Gross Tonnage (CGT) and automobile production volume was only 25,000 units. However, POSCO’s steel production volume last year was 38.64 million tons (domestic), and the manufacturing industries using steel also showed rapid growth: the shipbuilding volume was 7.81 million CGT, and automobile production was 3,757,065 units.

▲The first product is being produced at the second hot rolling mill in Pohang, which was restarted after being shut down for 100 days due to flooding.

In September 2022, Typhoon Hinnamnor caused flooding of a river near the Pohang works that flooded the factory areas, which are three times the size of Yeouido. However, despite expert predictions that plant restoration would take at least six months, POSCO demonstrated remarkable resilience by resuming normal operations at all of its factories on January 19, just 135 days later. Undoubtedly, this was made possible by the dedicated and competent employees who lead POSCO, a company that remains strong even in the midst of a crisis.

Creation of another legacy: carbon neutrality

POSCO is now preparing for another 50 years. POSCO has already achieved its first legacy by growing into the world’s most influential steelmaker (ranking No. 1 for 13 years in a row), starting with completion of ISM 50 years ago. Now, as the next step, it aims to create the second legacy by developing hydrogen reduction Ironmaking technology that does not require coal, with the goal of achieving carbon neutrality by 2050.

▲POSCO HyREX(hydrogen reduction ironmaking) concept.

POSCO aims to complete the hydrogen reduction Ironmaking system by gradually converting existing production methods such as blast furnaces. Now, POSCO is developing commercial hydrogen reduction Ironmaking technology. This development leverages POSCO’s proprietary HyREX (hydrogen reduction) technology, which itself is based on the company’s exclusive FINEX technology using fluidized reduction furnaces.

In July last year, POSCO signed a business agreement for cooperation in hydrogen reduction Ironmaking engineering technology with Primetals. This British plant construction company had previously co-designed the FINEX* facility with POSCO. Following the agreement, the design process for the HyREX test facility began. This test facility is scheduled to be introduced in 2026 to verify the possibility of commercialization. POSCO aims to achieve its “2050 carbon neutrality” goal by completing the development of commercial HyREX technology by 2030. The plan further includes a gradual conversion of existing blast furnace facilities at Pohang and Gwangyang Steelworks into hydrogen reduction facilities by 2050.

*FINEX : This is a facility based on proprietary technology developed by POSCO, which achieved the word’s first commercialization in 2007. The FINEX process eliminates the step in which raw materials are pre-processed, instead directly using inexpensive powdered iron ore and bituminous coal to produce molten metal.

POSCO is playing a pivotal role in achieving carbon neutrality in the global steel industry

POSCO has been continuously conducting R&D towards the commercialization of hydrogen reduction Ironmaking, and has been putting considerable effort into forming alliances with global steelmakers to achieve carbon neutrality. In particular, in 2021, POSCO held the world’s first Hydrogen Iron & Steel Making (HyIS) Forum in Seoul. The event brought together global steelmakers, worldwide steel associations, raw material suppliers, energy and engineering companies, and officials from the government and international organizations. To prepare for the era of carbon neutrality, POSCO has been playing a pivotal role in the steel industry by sharing its insights to speed up the transition to hydrogen reduction Ironmaking technology. In addition, POSCO has been actively presenting its vision and goals for carbon neutrality to the international community by participating in the Green Materials Forum, Carbon Neutrality Expo, and World Climate Industry Expo.

POSCO’s hydrogen reduction Ironmaking technology is a national initiative

The hydrogen reduction Ironmaking cannot be accomplished by POSCO alone. It requires national support and attention, just like 50 years ago, when the Korean government recognized the necessity of the steel industry and was totally committed to promote the construction of an ISM. At that time, the government actively supported the construction of steel mills through site renovation, infrastructure development (including railroads, ports, and dams), and the enactment of the Steel Industry Promotion Act. Thanks to these efforts, the Korean steel industry has gained global competitiveness today.

In order for Korea to lead the paradigm of the steel industry again and seize new opportunities, active policies and support mechanisms led by the government and relevant government agencies should be established. This is because the transition to hydrogen reduction in steel production is an unavoidable prerequisite and a survival strategy for the national industry.

Governments around the world that have insight into this trend are offering unprecedented support to steel companies. The German Federal Government has decided to provide KRW 75 billion to ArcelorMittal Hamburg steel plant, while the German Federal and State Governments have decided to provide KRW 1.4 trillion to the steelmaker Salzgitter. The EU also provided KRW 190 billion from an innovation fund to Swedish steelmaker SSAB, which contributes to the transition to green steel. In this context, countries around the world are accelerating the establishment of infrastructure for a carbon-neutral value chain with direct funding by setting agendas at the government level.

To survive in the global competition for a new paradigm, there’s a great need for policy support for HyREX development and government-level construction of infrastructure to boost the price competitiveness of hydrogen. Designating hydrogen reduction Ironmaking technology as a national strategic technology is essential. This technology is directly linked to national competitiveness and is necessary for maintaining international competitiveness in the steel industry, a cornerstone of manufacturing.

While celebrating the 50th anniversary of the ISM’s completion, POSCO will open the second stage of the steel industry with the fierce determination of the day when it took on a seemingly impossible challenge. As a leading player in the industrial renaissance of Korea, POSCO is also deeply conscious of its responsibility to protect the future of K-manufacturing. In the era of great industrial transformation called carbon neutrality, it is necessary to establish policies and institutional support for the steel industry to safeguard the competitiveness of the domestic manufacturing industry and turn the times into an opportunity for economic growth.

POSCO, which is at the center of such changes, will become a more solid company for the next 50 years based on the experiences and capabilities it has accumulated over the past 50 years.

Visitors take the elevator up the top floor’s observatory deck to see the breathtaking city panorama. Families and couples dine or drink champagne by the window glistening with city lights. It is the celebratory scene of US National Skyscraper Day on September 3.

This rather glamorous day commemorates the birthday of an American architect, Louis H. Sullivan also known as “father of skyscrapers” who built one of the earliest. Since then, the onset of skyscraper construction has brought about the advanced construction technology around major cities of the world.

As skyscrapers are typically approximately 40 floors (492 ft, 150 m) or taller, its construction involves impeccable framework and state-of-the-art technology for upmost safety— to support its weight and protect its habitants from natural disasters. To achieve such a feat calls for steel, the sole material relied for its unique high-strength-to-weight ratio.

Empire State Building, Landmark of the City that Never Sleeps

Originated from “Empire State”, the nickname of New York, this sparkly landmark featured in the silver screen to popular songs is the prestigious international icon of New York City. A reason why we are probably most familiar with this particular skyscraper. Located at the heart of Manhattan, the west side of Fifth Avenue, the multi-colored tower lights of the Empire State Building take the lead in decorating the city’s night skyline. Originally built as a symbol of hope during the nation struggling through the Great Depression, this famed landmark has been recorded as the tallest building in the world for 40 years in between 1931 to 1971 with its magnificent 102-story status and height reaching up to 1,454 feet (443.2 m) including its antenna.

All the while it had exceeded the height of the tallest skyscraper in the vicinity, the Chrysler Building, by as much as 204 feet. It took a tremendous amount of manpower of 3,000 workers to complete the construction in record time—as short as 13 months. The Empire State Building set the record as the tallest skyscraper in the world, a title retained until the completion of the World Trade Center in 1972.

Visitors to the 360-degree open-air observation deck on 86th and 102nd floor observatory attracts around 4 million visitors where expansive sunrise and night view of the entire city and beyond is visible, overlooking the Central Park, Hudson River, and Statue of Liberty.

Designed to withstand the building’s heavy gravitational pull and strong winds, the structural frame of the building took 57,000 tons of steel columns and beams that formed a 3-D grid throughout.

Dubai’s Burj Khalifa, the Mega Tower Overlooking the Earth

Located in the exuberant city of Dubai, this thin, needle-shaped skyscraper is gaining more and more prestige each year as millions of visitors marvel at its glamorous status of 829.8 meters (2,722 feet). This $1.5 billion-worth super scraper is currently the tallest architecture in the world since its construction in 2009. Taking five years to complete, more than 12,000 workers took part in the process for what is twice the height of Empire State Building and three times that of the Eiffel Tower in Paris.

This superstructure taking center stage in the scenes of “Mission Impossible: Ghost Protocol”(2011) where Tom Cruise pulls an edgy stunt scene moving about the walls of the building with suction gloves, gaining further worldwide stardom.

The city’s breathtaking skyline is observed  from “At the Top” deck on the 124th floor where the neighboring country, Iran’s shores can be seen during days of high visibility. In the making of this magnificent structure, 31,400 metric tons of steel rebar was used.

Lotte World Tower, Guaranteed Security among the Clouds

POSCO provided 41,000 ton-worth of high-strength steel for the construction of Lotte World Tower(Source: Tourmate)

Soaring 555 meters into the clouds, Lotte World Tower situated in Jamsil, Seoul, is the fifth tallest skyscraper built incorporating the newest cutting-edge technology. It is the home to world’s highest glass-floored observation deck creating a thrilling sensation of vertigo on the 117th to 118th floor. The observation deck reveals Seoul’s mountainous landscape afar during the day.

Leading edge construction technology from around the world was integrated into the process, and POSCO’s exclusive technology played a considerable part in the project. Thick plates (usually over 100 mm) applied in the domestic market was no more than 80 mm. However, to construct the highest building in the domestic scene, POSCO supplied 41,000 ton-worth of 120 mm thick plates and HSA800 high-strength steel. HSA800 is POSCO’s world premium product of which is highly suitable as the construction material for high-rise buildings. Even a 1mm² amount of HSA800 could support a human being weighing 80 kg (176 lb) without trouble.

Shanghai Tower, the World’s Greenest Skyscraper

Shanghai Building is spotlighted as a sustainable mega-tall tower(Source: Asiantowers)

China’s tallest, and the second tallest in the world, the Shanghai Tower is one of the recent high-rise construction recognized for its efforts in sustainable architecture. Towering 632 meters high, this China’s newest architectural invention prides on the world’s fastest elevators, highest hotel, and restaurants, as well as the tallest observation deck.

By reducing the amount of construction material needed by 25 percent, it saved approximately $58 million in construction costs. It collects rainwater and reduces wastewater for energy conservation while combining the cooling and heating power system that cuts tons from carbon footprint. Furthermore, the engineers installed 200 wind turbines at the top of the power which generates about 10 percent of the building’s electricity.

Quintessential Steel in High-rise Buildings

Use of steel delivers a range of advantages aside from stability. High-tech steel used for construction enables thinner walls making for more spacious interiors and more windows. The most crucial element is the safety aspect which steel delivers. Natural disasters pose a great threat to tall buildings from typhoons to fire hazards. As the quality of steel high-strength steel used in the construction of mega buildings is high, the resilience and ductility provide a significant advantage.

POSCO’s exclusive technology, HAS high-strength steel is an example of a material that is resistant to earthquakes. It is 1.7 times stronger than regular steel while 30 percent lighter in weight. A perfect high-strength steel that absorbs strong vibration.

In Japan, the country often hit by earthquakes, high strength steel is highly preferable for good welding and economic value. Up to 880 N/mm² in yield strength (tensile strength 1,000 N/mm²) is highly preferred.

The tense competition for reaching new heights in mega-tall buildings are still underway. Saudi Arabia’s Jeddah Tower will soon become the tallest in ranking, setting aside Burj Khalifa. Its expected height reaches above 1,000 meters, and Dubai’s Creek Tower is expected to be completed in 2021 as an observation tower rising up at 1,300 meters. With the advent of Jeddah Tower towering above 1 km, an even newer era of skyscrapers will begin where steel frames will play an even more significant part of the future’s architecture—raising efficiency in limited city spaces while creating installation artwork befitting in the creation of the Megacity.

Having discovered the architectural wonders of the world that have reached new heights through the application of steel, a tour to any of the tall buildings may now hold new meaning. Cheers to the pinnacle of human design.